Core Viewpoint - Nvidia's stock price experienced significant volatility due to the emergence of China's AI startup DeepSeek, which raised concerns about reduced semiconductor demand, despite ongoing strong demand for AI semiconductors overall [1][2]. Group 1: Nvidia's Market Performance - Nvidia's market capitalization reached $4 trillion on July 9, making it the first company globally to achieve this milestone [1]. - On the same day, Nvidia's stock price rose by approximately 3%, reaching around $164, before closing at over $162, resulting in a market cap below $4 trillion [1][2]. - Nvidia's market cap surpassed Apple's previous record of $3.915 trillion set in December 2024 [1]. Group 2: Growth Trajectory - Nvidia's market cap surpassed $1 trillion in May 2023, $2 trillion in February 2024, and $3 trillion in June 2024, marking it as the fastest company to reach a $4 trillion valuation in about 30 years [2]. - The company forecasts a 50% year-over-year sales growth from May to July 2025, driven by substantial investments in AI from tech giants like Microsoft and Meta [2]. Group 3: Competitive Landscape - The AI semiconductor market is becoming increasingly competitive, with companies like AMD offering lower-cost alternatives [3]. - Major clients such as Google and Amazon are actively developing their own semiconductors to reduce reliance on Nvidia [3]. Group 4: Emerging Competition - Huawei is developing its own AI semiconductors and targeting Chinese companies that cannot access Nvidia's advanced products due to U.S. government restrictions, positioning itself as a potential strong competitor to Nvidia in the long term [4]. - The stock market is sensitive to companies' AI strategies, with Microsoft nearing a market cap of $3.7 trillion, while Apple struggles with slow progress in generative AI development [4].